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Office of Procurement, Acquisition and Logistics (OPAL)

Small Business Subcontracting Plans

Federal contractors are required to maintain an acceptable subcontracting plan if they are a large business (including all affiliates) and the estimated dollar value of the base contract and all option periods exceeds, or is expected to exceed, $700,000.

Contractors that meet the above criteria must establish a subcontracting plan with specific dollar and percent goals for subcontracting to small, HUBZone small, small disadvantaged, small women-owned, veteran-owned small, and service-disabled veteran-owned small business firms. This plan must be in place prior to contract award and is updated annually.

The requirement to submit a subcontracting plan does not apply to:

Small businesses

Contracts under the prescribed dollar amounts

Prime contracts not offering subcontracting possibilities

Contracts to be performed entirely outside the United States

Commercial vs. Individual Plans

Commercial or Individual Plans

Plan Type

Description

eSRS Reporting Requirements

Commercial

A subcontracting plan that covers the company’s fiscal year and that applies to the entire production of commercial items sold by either the entire company or a portion thereof (i.e. division, plant, or product line).

A commercial plan is the preferred type of subcontracting plan for contractors furnishing commercial items.

Annual

Individual

A subcontracting plan that covers the entire contract period, applies to a specific subcontract, and has goals that are based on the company’s planned purchases of products and services needed to maintain a specific Federal contract (i.e. VA Federal Supply Schedule contract).

Reporting Requirements

VA FSS Subcontracting Plan Template

NOTE: This is a suggested format only. Other formats are acceptable; however, all identified elements must be included for your plan to be processed and approved. Additional guidance is included in FAR 52.219-9.

electronic Subcontracting Reporting System (eSRS)

Contractors are required to report all subcontracting achievements through the eSRS. For instructions on how to use submit an eSRS report download the eSRS Reporting Guide(Updated 09/2016) training presentation!

Subcontracting Plan Review & Approval Process

Disclaimer

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